You did answer the question better than a number of the Realtors here. A few have broken the law and don't even practice RE in the state of MI.
FYI, none of the Realtors who have responded are from anywhere near Kalamazoo.
Susan, I think you get the idea by now. I am sure some K'zoo Realtors will show their heads shortly. After all, what you really care about is what you will be charged and receive, not what someone in Illinois or Texas charges, right?
The standard answer to this question by the agents is that there is no such thing as a standard commission. Commissions are negotiable. Due to laws regarding RE, most of the agents are going to skirt around your question, if they answer it at all.
Geography was never one of my best subjects in school. I should have done more research before making the post you referred to. I apologize, and I must say that I was impressed that there was not even a hint in your posts of an attempt for a finder's fee.
Social Media Guru at Trulia
"I ain't no stinkin realtor!! LOL!"
I hope no one took me serious. Actually, I was somewhat flattered by Derek's post. I just didn't want anyone to think I am more on this site than I am.
Real Estate fees fall under the Anti-Trust Laws, thus there is no fixed standard in our industry. Every contract that I have entered into with a seller, on behalf of our broker, included the language that our percentage is negotiable. Although we, as a company have policies regarding our fees to the public, those policies are set in direct relationship to the services provided.
There are various fee structures offered in the real estate industry, like many industries. There will be variables in services offered, therefore, variables in the cost for those services.
As for our fees...they vary anywhere from 3% to 10% and sometimes a flat fee when it involves no marketing or if we are dealing with rents.
If you are considering hiring a real estate professional, I recommend you put the most weight of your decision on the qualifications of the individual rather than the fee they might charge. For instance, if we negotiate better than the average agent, we will get you more money and if we sell your house faster because of our advanced marketing, it's alot of money if it's 90 days sooner and you avoided 3 mortgage payments. My mom always said..."You get what you pay for" (not always true but often is)
Best of Luck to you!
Let us know if we can provide you information that would help you choose the best choices of Realtors in your area.
Real Estate One - Max Broock
Lot's of discussion on this one :) I'm just a mortgage guy, but allow me to impart my wisdom, or at least give my 2 cents...
As previously stated, there is no "standard" commission, however in my experience 6% is normal. There are realtors who charge less and realtors who charge more but ultimately it comes down to who will do the best job for you and I always go by the old adage ,"You get what you pay for".
In a tough real estate market like we are in right now, some agents are willing to cut their commissions just to keep working, but is that really the type of realtor you want representing you? If it results in your home being on the market for a longer time or a lower selling price then what have you really saved??
Likewise, some realtors may charge a higher commission, but the added services or expertise may result in a quicker sale and/or a higher sales price.
In the days when you could put up a FOR SALE sign in your yard one day and have dueling offers the next day, I don't think it mattered much who listed your home. Today's market is a whole new ballgame and I think you need someone knowledgable working for you
This is not to say expensive is better or that a discount broker is incapable of meeting your needs, however I think you need to first make a list of your top priorities in selling your home, then interview a few realtors to see who is most equipped to meet your individual needs and goals.
A really good realtor CAN make a big difference and a really bad one will leave you feeling frustrated and wanting to pull your hair out.
Do yourself a favor and take price out of the equation, or at least look at it as only part of a much bigger puzzle
Although, some advise I have seen on these posts is not always accurate, we hope that the consumer is able to distinguish between those that are the professional responses and those that are not.
There is no standard commissions, however an individual broker/office might have a policy to only accept a listing contract with a 5% or 6% commission, or above. While commissions are negotiable, real estate professionals have the right to establish their own fees.
Is a 6% commission fee a normal fee in todays market? Definetly! The expenses and time involvement to properly market and bring in an offer to the seller has trippled. Just make sure you interview few Real Estate Professionals from your immediate area and decide to hire the one that works full time and can show you their recent activity as well as a good marketing plan.
Your question leads me to believe you may be shopping around for a realtor. If that is the case, the blog attached to the link below might be of some interest to you. Good luck.